By Breakingviews columnists
The authors are Reuters Breakingviews columnists. The opinions expressed are their own.
The world's largest car market, China, with a population of 1.3 billion people and an emerging middle class, holds great potential for investors and consumers alike with annual growth rates in the auto sector expected to hold at around 23 percent to 2017, according to Alliance Bernstein Asset Managers.
At Toyota Motor’s safety technology media tour on Thursday, the most photogenic objects were not the cars; they were the crash-test dummies. Throughout the day at the Higashifuji Technical Center at the foot of Mount Fuji, Toyota showed us its latest safety features and research facilities, including a head-on collision between a Vitz hatchback and Toyota’s flagship Crown sedan, and a driving simulator that would make NASA proud.
A lot of words have been written in the past few post-tsunami weeks about the negative impact of the disastrous tragedy on the short-term future of Japanese cars in the U.S. market. In parallel, many articles proclaim this to be a “historical window of opportunity” for the “Detroit Three,” now able to deliver to waiting customers an abundant supply of new vehicles while, at Toyota, Honda and Nissan, the cupboard is bare.
Every year at New York’s Fashion Week, models strut in dresses that are flamboyant, expensive and wildly impractical. The concept cars on display annually at the North American International Auto Show are the same, only made of metal rather than fabric.
Check out what retailers are thinking about China's revaluation of the yuan.
Western retailers may pay more for goods they import from China as the yuan appreciates, but the flip side is that the move may create significant selling opportunities by putting more money in the pockets of consumers in the world's biggest market.